HomeMy WebLinkAboutContract 28114�iTY 5������� I
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STATE OF T�XAS § --�, _ ___; _�
C4UNTY QF TARRANT §
TAX ABATEMENT AGREEMENT FOR PROPERTY LOCATED IN A
N��GHBORHOOD �MPOVVERMENT ZONE
This TAX ABATEMENT AGREEMENT ("Agreement"} is entered into by and
b�twe�n the CITY Or FORT WORTH, TEXA� {the "City"), a�ame rule municipal
corporation organized under the �aws of the State of Texas and acting by and through
. its duly authorized Assistant City Manager, and the Fort Worth
Housing Finan:ce Corporation, a non-profit housing development
carpoa�ation. ("Owner"), aciing by and through Jerome Walker, its duly
authorized Owners' Representative.
The City Council of the City of Fort Worth ("City CaunciP') hereby finds and the City
and Owner hereby agree that the following statements are true and correct and constitute the
basis upon which the City and �wner ha�e entered into this Agreement:
A. Chapter 378 of the Texas Local Governrnent Code allows a municipality to create
a Neighborhood Empowerment Zane {NEZ} if the municipa�ity determines that
the creation of the zone would promote:
1. The creation of affordable hausing, including manufactured housing in th�
zone;
2. An increase in econornic development in the zone;
3, An increase in the quality of sociai services, education, ar public safety
provided to residents of the zone; or
4. The rehabilitation af affardable housing in the zone.
B. Chapter 378 of the Texas Lacal Gove�-�ment Code provides that a municipality
that cr�ates a NEZ, may enter into agreements abating municipal property taxes
on property in the zane.
C. On July 31, 2001, the City adopted basic incentives far property awners who own
praperty located in a NEZ, stating that the City elects to be eligible to participate
�n tax aba�ement ar�d including guidelines and criteria governing tax abatement
agreements entered into betweer� t�e City and various third parties, titled "NEZ
Basic Incenti�es" {"N�Z Incentives"), which is attached �iereto as Exhibit "A"
and het'eby made a part af khis Agreement for all purposes.
D. The NEZ Incentives contains appropriate guidelines and criteria �o�erning tax
abatement agreements to h� entered into by the Ciiy as cont�mplated by Chapter
312 of the Texas Tax Code, as amenc�ed (the "Code"). .
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E. On September ll, 200�, the Fort Worth City Council adopted Ordinance No.
14767 (the "Ordinance") establishing "Neighborhood Empowezment
Reinvestment Zone No. 1," City of Fort Warth, Texas (the "Zane").
F. �wner owns certain real property lacated entirely within the Zone and that is
more particularly described in Exhibit "B", attached hereta and hereby anade a
part of this Agreement far all puiposes (the "Premises"}.
G. Owner or its assigns plan to construct the Required �tnprovements, as defined in
Section 1.1 of this Agreement and as described in Exhibit "C", on the Premises to
be used for as a single-famil� residence that will be owner occupied. (the
`�Project").
H. On September 2$, 2001, Owner submitted an applicatian for NEZ incentives and
tax abatement to the City concerning the contemplated use af th� Premises (the
"Application"), attached hereto a5 Exhibit "D" and hereby made a part of tl�is
Agreem��t for all puzpases.
I. The City Couneil finds that the contemplated use of the Premises, the Required
Impra�ements, as defined in Section 1.1, and the terms of this Agreernent are
consistent with encouraging develapment af the Zone in accordance with the
�urposes far its creatian and are in compliance with the NEZ Incentives, the
Resolution and other applicable faws, ordinances, rules and regulations,
J, The City Counci� finds that the terms of this Agreement, and the Pr�mises and
Required Improvements, satisfy the eligibi�ity criteria of the NEZ Incentives.
K. Written notice that the City intends to enter into this Agreement, along with a
copy of this Agreement, has 6een furnished in the manner prescribed by the C�de
to the presiding officers of the governing bodies of eac� o� the taxing units in
which the Premises is located.
NOW, THEREFORE, the City and Owner, for and in consideration oi the terms and
conditions set forth herein, do hereby contract, covenant and agree as follows:
1. OWNER'S COVENANTS.
1.1. Real Properf_v Imnrovements.
Owner shall canstruct, or cause to be constructed, on and within the Premises
certain improvements consisting oi a single family residence, (i) of at least 1,200 square
feet in size, and (ii) having a construction cost upon completion of $ 60,04a including site
development casts but such minimum construction costs shall be reduced by any
construction cast savings (collectively, the "Required Ymproverrients"). Owner shall
provide a survey of the completed home showing Required Irnprovements before the
home is so�d. The parties agree that the final survey shall be a part of this Agreement and
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shall 6e labeled Exhibit E. Minor �ariations, and more substantial variations if approved
in writing by bath of the parties to this Agreement, in the Required Improvements from
the descri�tion provided in the Application for Tax Abatement shall nat constitute an
Event of Default, as defined in Section 4.1, provided that the conditions in the first
sentence of this Section 1.1 are met and the Required Improvements are used for the
purpos�s and in the manner described in Exhibit "D".
1.2. Completion Date af Required Imqrovements.
Owner covenants to s�abskantially complete construction of all of the Required
�nprove�nents within two years from the issuance and receipt of the b�ilding permit,
unless delayed because of forc� majeure, in which case the two years shall be extended
by the number oi days comprising the specific farce majeure. For purposes of this
Agreement, force majeure shail mean an e�ent beyond Owner's reasanable cantrol,
including, without limitation, delays caused by adverse weather, delays in receipt of any
required permits or appi•ovals fram any gavernmental authority, or acts of God, fires,
strikes, national disasters, wars, riots and material or iabor restr�ctions and shartages as
determined by the City of Fort Worth in its sole discretian, which shall not be
unreasonably withheld, but shall not include construction delays caused due to purely
iinancial matters, such as, without limitation, delays in the obtaining of adeyuate
financing.
1.3. Use of Premises.
Owner covenants that the Required Improvements shall be constructed and the
Premises shall be so�d so that it is continuously used as the prima►•y residence af the
Home Buyer in accordance with the description of the Pro�ect set forth in Exhibit "D". In
addition, Owner co�enants that throughout the Term, the Required Improvements shal�
be operated and maintained for the purposes set forth in this Agreement and in a manner
that is consistent with the general purposes of encauraging developrnent or
redevelopment of the Zone.
2. ABATEMENT AMOUNTS, TERMS AND CONDITIONS.
Subject to a:nd in accordance with this Agreement, the City hereby grants ta Owner a real
property tax abatement ott the Premises, khe Required Impro�ements, as specifically provided in
this Section 2(`�Abatement"). "Abatement" of real property taxes only includes City of Fort
Worth-impased taxes and not taxes frorn other taxing entities.
2.1. Amaunt af Abatement.
The actual amount of the Abatement granted under ihis Agreement shall be
based upon the increase in value of the Premises and the Required Irr��x'avements o�er
th�ir values an January �, 2002 and according to tt�e Tairant Appraisal District, this
amount is $i,000 the year in which this Agreement was entered into:
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One Hundred percent (100%) af the increase in value from the
construction of the Required Improvements.
Tf th� total constf•uction costs of the Required Tm�ro�ements are l�ss than as
provided in Section 1.1 of this Agreement, except that such minimum canstruction costs
shall be reduced by construction cost savings, Owner wil� not be eiigible to receive any
Abatement under this Agreement.
2.2 Terrn of Abatemenf.
The term oF the Abatement (che "Term"} shall begin on �anuary 1 of the
year following tt�e calendar year in which the Required Improvement is sold to a
Home Buyer to be used as its prima�y residence {`Beginn�ng Date")�and, uniess
sooner terminat�d as herein provided, shall end on Dec�mber 31 immedia�ely
preceding the fifth (Sth) anniversary of the Beginning Date. Upon the sale to a
Home Buyer, City shalI c�rtify that the Required T�nprovements have been
completed in satisfaction of the terms of this Agreement.
Hawever, the Compliance Auditing Term wil� begin on the date this agreement is
�xecuted and wil! end on the expiration date oi the Term.
2.3. Protesfs Over Apuraisals ar Assessments.
Qwner shall have the right to protest and contest any ar all appraisals or
assessments of the Premises and/or improvements thereon.
2.4. Abatement Anulication Fee.
The City acknowledges receipt from Owner af the required Abatement
application fee of twenty-five dollars ($25.0�).
3. RECORDS, CERTIFICATION AND EVALUATiON OF PRO.TECT.
3.1. Insnection of Premises.
Between the execution date of this Agreennent and the last day of the Te�-m, at any
time during construction of the Required Improvements and foIlowing reasonable notice
to Owner, the City shall have and Owner shall provide access to the Premises in ardec for
the City to inspect the Premises and evaluate the Required Improvements to ensure
compIiance with the terrns and conditians oi this Agreement. �wnez• shall cooperate
fully with the City during any such inspection and/or e�aluation.
3.2. Certification � ; ' �
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Property Owner, and Harne Buyer once the property is sold, .shall certify annually
to the City that it is in compliance with each applicable term of this agreem�nt. The City
shall have the right to audit at the City's expense the financial and business records of
�wner that relate to the Construction of the Project and Abatement terms and conditions
(collectively, the "Records") at any time during the Compliance Auditing Term in arder
to d�termine compliance with this Agreement and to calculate the correct percentage of
Abatement available ta Owner. Owner shall make all applicable Records available to the
City on the Premises or at another location in the City foilawing reasonable ad�ance
notice by the City and shall otherwise cooperate fully with the City during any audit,
3.3. Provisxon of �nformation.
On or befare February 1 following the end of every year during the Compliance
Auditing Term and if requested by the City, Owner shall pro�ide inforir�ation and
documentatipn for the previaus year that addresses Owner's compliance with each of the
terms and conditions of this Agreement foi• that calendar year.
Faidure to provide all infor�natiort witltin the controd of Owner reqrcired by this Section
3.3 shall corastitt�te a�a Everit of Default, as defireed i�t Sectiort 4.1.
3.4. Determination of Carripliance.
On or before August 1 of each year during the Cornpliance Auditing Term, the
City shall make a decision and r�le on t�ie actual annuaI percentage of Abatement
available to Owner far the following year of the Term and shall notify Owner of such
decision and rulir�g. The actual percentage of the Abatement granted for a given year of
the Term is therefore based upon Owner's compliance with the terms and conditions of
this Agreement during tt�e pre�iaus year of the Compliance Auditing Term.
4. EVENTS OF DEFAULT.
4.i. Defined.
Unless atherwise specified herein, Owner shall be in default of this Agreement if
(i) Owner fails to construct the Required Improvements as defined in Section 1.�; (ii) ad
valorem real property taxes with respect to the Premises or the Project, or its ad �alorem
taxes with respect ta the tangible personal property located on the Premises, become
delinquent ancE Owner does nat timely and praperly foliow the legal procedures for
protest andlor contest of any such ad valorem reai property or tangible personaf paroperty
taxes or (iii) Home Buyer does not use the Premises as primary residence once the
abatement begins (collectively, each an "Eveni of Default").
4.2. Natice to C�rre.
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Subject to Section S, if the City determines that an Event of Default has occurred,
the City shall provide a written notice to Owner that describes the nature of the E�eni of
Defau�t. Owner shall have ninety (90) calendar days fz-om the date of receipt of this
written notice to fully cure or have cured the Event of Default. �f Qwner reasanably
believes that Owner will require additional time to cure the Event of Default, Owner sl�all
pramptly notify the City in writing, ir� which case (i} aft�r advising the City Counci� in an
apen meeting of Owner's efforts and i�tent to cure, Owner shall ha�e one hundred �ighty
{180} calendar days from t�e original daEe of receipt of the written notice, or (ii) if 4wner
reasonably believes that Owner will require more than one hundred eighty (1$0) days to
cure the E�ent of Default, after ad�ising the City Council in an open me�Eing of Owner's
efforts and intent to cure, such additional time, if any, as may be offered by the City
Counci� in its so�e discretion.
4.3. Terrnination for Event of Defau�t and Pavmeni of Liquidated Dama�es.
�f an Event oi Default which is defined in Section 4.1 has not.been cured within
the time frame specifically allowed under Section �F.2, th� City shall ha�e the right to
teiminate this Agreement immediately. Owner acknowledges and agrees that an uncured
Event of Default will (i) harm the City's economic develapment and redevelopment
efforts on the Premises and in the vicinity of the Premises; (ii) require unplanned and
expensi�e additional adrr�nistrative oversight and involvement by the City; and (iii)
otherwise harm the City, and �wner agrees that the amounts of actual damages ther�from
are speculative in nature and will be difficult ar impossible to ascertain. Therefore, upon
termination of this Agreernent for any E�ent of Default, Owner shali not be eligible far
the Abatement for the rema�ning Term and Owner shall pay the City, as liquidated
damages, all taxes that were abated in accordance with this Agreement for each year
when an Event of Default existed and which otherwise would have beett paid to the City
in the absence of this Agreement, The City and Owner agree that this amount is a.
reasonable appraximation of actuaI damages that the City will incur as a result of an
uncured Event oi Default and that this Section 4.3 is intended to pro�ide the City with
compensation for actual damages and is not a penalty. This amount may be reco�ered by
the City through adjustments made to Owner's aci valorem property tax appraisal by the
appraisal district that has jurisdic�ion over the Premises. Otherwise, this amount shall be
due, owing and paid to the City within sixty (60) days follflwing the effective date of
termination of this Agreement. In the event that all or any portion of this amount is not
paid to the City within sixty (60) days following the effective date of termination o�' this
Agreement, Owner shall also be liable for all penaIties and interest an any outstanding
amount at the statutary rate for delinquent taxes, as determined by ti�e Code at the time of
the payment of such penalties and interest {currently, Seciion 33.01 af the Code},
4,4. Terrnination at Will.
If the City and Owner mutually determine that the de�elopment or use of th�
Premises or the aniicipated Required Impra�emettts are no langer appropriate or feasible,
or that a higher or better use is preferable, the City and �wner may terminate tI115
Agreement in a written format that is signed by bath parties. In ihis event, (i)�if the Term
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has commenced, the Term shall expire as of the effective date of the terrnir�ation of this
Agreement; (ii} there shall be no recapture af any taxes previously abated; and (iii)
neither party shall have any further rights or o�ligations hereunder,
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EFFECT OF SALE OI' PREMISES.
The Abatement granted hereunder shall vest only in Owner and cannot be
assigned to a new owner of all or any portion of the Premises and/or Required
Improvements without the prior written consent of the City Council, which consent shall
not be unreasonably withheld provided that (i) the City Council finds that the proposed
assignee is financially capable of ineeting the terins and conditions of this Agreement and
(ii) the proposed purchaser agrees in writing to assume all tex-ms and conditions of Owner
u�der t�is Agreement. Owner may not otherwise assign, lease or convey any of its rights
under this Agreement. Any attempted assignrnent without the City Council's prior
written consent shall constitute grounds for tez-mination of this Agreement and the
Abatement granted hereunder following ten (10) calendar days oF receipt of written
notice from the City to Owner.
In no event shall the abatement term be extended in the event of a subsequent sale
or assignrnent.
NOTTC�S.
All written natices called far or required by this Agreement shall be addressed to
the following, or such other party or address as either party designates in writing, by
certified mail, postage prepaid, or by hand delivery:
Owner:
City of Fort Worth
Attn: City Manager
100Q Throckmo�tan
Fort Worth, TX 76102
7. MISCELLANEOUS.
7.1. Bonds.
Fort Wort� Housing Finance Corporation
100a Thrackmorton
Fort Worth, Texas 76102
The Required Improvements will not be financed by tax increment bonds. This
Agreement is subject to rights of holders of outstanding bonds ai the City.
7,2. Conflicts of Inferest.
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Neither the Premises nar any of the Required Improvements covered by this
Agreement are owned or leased by any men-►ber of the City Council, any member of the
City Planning ar Zoning Commission or any member of the governing body of any taxing
uniis in the Zone.
7.3. Con#�i�ts Between Documents.
In the event af any canflict between the City's zaning ordinances, or other City
ordinances ar regulations, and this Agreement, s�ch ordinances or regulations shall
contral. In the event of any conflict between the body of this Agreement and Exhibit
"D", the body of this Agreement shail cantral.
7.4. Future Apnlication.
A portion or all of the Pz-enaises andlor Re9uired Impro�ements may be eligible
for complete or partial exernption from ad valorern taxes as a i-esult of existing law or
future Iegislation. This Agreement shall nat be � construed as evidence that such
exemptions do nat apply ta the Premises and/or Required Improvements.
7.5. Citv Council Authorization.
This Agreement was authorized by the City Council thraugh appro�al of Mayor
and Council Communication Na, on , which, amflng ather
things, authorized the City Manager to execute this Agreem�nt on behalf of the Ciiy.
7.6. Estonnel Certi�cate.
Any party hereto may request an estoppel certificate from another party hereto so
long as the certificate is requested in cann�ction with a bona fide business purpase. The
certificate, which if requested will be addressed to the Owner, shall include, bui not
necessarily be litnited to, statements that this Agreement �s in fu�l force and effect
without deiauit (oc if an Event af Defattlt exists, the nature of the Event of Default and
curative action taken and/or necessary to eifect a cure), the remaining term of this
Agreement, the �evels and remaining term of the Abatement in effcct, and such other
matters reasonably requested by the party or parties to receive the certificates.
7.7. �wner Standin�.
Owner shall be deemed a praper and necessary pacty in any litigation questioning
or challenging the validity of this Agreement or any of th� �nderlying laws, ordinat�ces,
resolutions or City Council actions authorizing this Agreement, and Owner shall be
entitled to intervene in any such litigation.
7.8. Venue and .Turisdiction.
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This Agreement shali be construed in accordance with th� laws of the State of
Texas and applicable ordinances, rules, regulations or policies oi the City. Venue for any
action under this Agreement shall lie in the State District Cot�rt of Tar�•ant County, Texas.
This Agreement is performable in Tarrant County, Texas
7.9. Recordation.
A certified copy of this Agreernent in recordable farm shall be recorded in the
Deed Records o� Tarrant CounCy, Texas.
7.10. Severabiiitv.
7f any provision of this Agreemettt is held to be invalid, illegal or unenforceable,
the va�idity, l�gality and �nforceability of the remaining provisions shall not in any way
be affecied oz impaired.
7.1.1. Headin�s Nat Control[in�.
Headings and titles used in this Agreemeni are for reference purposes only and
shall not be deemed a part af this Agreement.
712. Entirety of A�reement.
This Agreement, including any exhibits attached t�ereto and any documents
incorparated herein by reference, contains the entire understanding and agreement
between the City and Ovvner, their assigns and successors in interest, as to the matters
contained herein. Any prior or contemporaneous oral or written agreement is hereby
declared null and void to the extent in conflict with any pravisian of this Agreement.
This Agreement shall nat be amended un�ess executed in writing by both parties and
approved by the City Council. This Agreement may be executed in multiple
counter�arts, each of which shall be cansidered an original, but all of which shall
constitute one instrument.
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�XECUTED this�� day of ��' � , 2002, by the City of Fart Wnrth,
Texas.
EXECUTED this .��day af �.Sr���'��•�•-. � c� � . 20Q2, by Fart Worth Housing
Finance Coiporation.
CITY OF FORT WQRTH: FORT WORTH HOUSING FINANCE
CORPORATION:
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By: i ..'i',1.� � ����' f ��� ? �
Assistant City Manager
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Je� me C. Walker
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ATTEST:
By: .�l1.13..����
ity Secretary
APPROVED AS FORM AND LEGALITY:
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Cynt ia Ga cia
Assistant City Attorney
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ATTEST:
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STATE OI' TEXAS §
COUNTY OI+ TARRANT §
BEFORE ME, the undersigned authority, on this day personally appeared
�r�cl %?�L%�2 , Assistant City Manager of the CITY OF FORT WORTH, a municipal
corporation, known to me ta be the pe�•son and officer whose name is subscri6ed to the foregoing
i�strument, and acknowledged to me that the same was the act of the said CITY OF FORT
WORTH, TEXAS, a municipal corporation, that he was duly authorized to perform the same by
appropi7ate Mayar and Council Communication of the City Council of the City of Foi� Worth
and that he executed the same as the act of the said City for the purpos�s and cansideration
therein expressed and in the capacity therein stated. '
GIVEN LTNDER MY HAND AND SEAL OF OFFICE this 1��� day af
OC�'e--L�- .2002.
���-�r�. �Cc�� _
Notaiy Public in and for
the State of Texas
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Notary's Printed Name
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�'{�Y pG� ROSELLA BARNES
�*S��'�°�'; NO7AAYAEJBLlC
�N�,4 i�f,•' State af 7exas
•�'.�oF'�� Comm. Exp. 03-3�-2005
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STATE OF TEXAS §
C4UNTY QF TARRANT §
BEFQRE ME, the undersigned authority, on this day personally appeared�_ ��>� ��-�� ��Z� �
/�� �j�c�.�..'� of the ForE Worth Housing Finance Corporation, a Texas non- profit coiporation,
kr%wn to me to be the person whose name is subscribed to the foregaing instrument, and
acknowledged ta me �that he executed the same for the puiposes and consideration therein
expressed, in the capdcity therein stated and as the act and cleed of the Fort Warth Housing
Finance Corporation.
GIV+EN UNDER MY HAND AND SEAL OF OFFICE this /�� � day
of -sc�_» 7�.t�., � c � , 2002.
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Notary Public in and for ��, ,_,., .._..� :���-,�,�...�- y- $
Ehe State of Texas ;;�;�Y'PN�;�,= w��u�l�l�wrn� i
=�i '= hhY CQh�hfISSIRN [xPIRf:S i
_?;�, , �*t;= January27,2003 ;
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Notary's P�-inEed Name
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Exhibit A: NEZ Incentives
Exhibit B: Property Description
Exhibit C: Project description including kind, number and location of the praposed
improvements.
Exhibit D: Application: (NEZ) Incentives and Tax Abatement
Exhibit E: Final Survey
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CITY OF FORT WORTH
N�iGHBORHOOD �MPOWERMENT ZONE (NEZ) BASIC INCENTIV�S
Adopfed f�y the Forf Worth Cify Council on July 39, 2001 (M&C G-9320$ R)
Amended 6y the Fort Worth City Council on April 2, 2002 (M&C G73580), July 23, 2002
(M&C G-13662)
l. G�NERAL PURPOSE AND OBJECTIVES
Chapter 378 of fhe Texas Local Gov�rnment Code allows a munic�pality to create a
Neighborhood Err�powermen# Zone {NEZ} when a"...municipality determines that fhe creation
of the zone would promate:
(1) the creation of affordable nousing, inclu�ing manufactured housing, in the zone;
{2} an increase in economic development in the zone;
{3) an increase in the �uality of social ser�ices, educa#ion, or public safety provided to
residents of the zane; or
(4) t�e rehabilitation af affordable housing in the zane."
The City, by adop#ing fhe following incentives, will promote afforda�le housing and
ecanamic development in the NEZ. NEZ inc�ntives will noi be gra�fed after the NEZ expires as
defined in the resolution designating the NEZ. For each N�Z, the City Council may approve
additional terms and incentives as permit#ed by Chapter 378 of the Texas �.ocal Go�ernment
Code or by City Cauncil resalution. However, any fax aba#ement awarded before fh� expiration
of a NEZ shalf carry i#s fuli term accordir�g to its tax abatem�n� agreement approve� by the City
CounciL ,
As mandated by sta�e iaw, the properiy tax abatem��f under this policy app[ies to fi�e
owners of real property. Nothing in the �olicy shall be construed as an obligatian by the
City af Fort Worth to approve any fax abatement applicafiot�,
II. DEFINITIONS
"Abaf�mer�Y' means the full ar partial exemption frorn City of For# Worth ad valarem taxes on
e�igible pro�erties for a periad of up to 10 years and an amount of up ta 100°/o of the increase in
appraised va��e (as reflected on the certified tax roll of the appropriate county appraisal district)
resulting from improvemenis. Efigibis properties must be located ir� the NEZ.
"Base Value" is the valu� of the pro�erty, excluding land, as de#erminec� by the Tarrant Caunty
Apprarsal District, during t�e year reha�ilifation occurs.
"Building Sfandards Commission" is the commission creaied under Sec. 7-77, Article IV.
Min�mum Building Standards Code of the Fo�t Worth City Code.
"Capifal Investmenf" inciudes only real property improvements such as new facilities and
structures, site irrtpro�emertfs, facilify expansion, and facility modemization. Capital Inves#menf
�aes NOT include land acquisifion costs andlor any existing improvemenis, or personal �ro�er�y
(such as macf�inery, equipment, andlor suppli�s and inve�tory).
"City of Fort Worfh Tax Abafement Policy Statemenf" means tne policy a�opfed by City Council
on February 29, 2040.
"CommerciaUlndustria! Development Project" is a development project whic� proposes ta
canstruct or rehabilitate commerciallindustrial �acilities an property that is �or meets the
requirements to be) zoned comrn�rcial, ir�dustria] or mix�d use as defined by the City af Fort
Wor�h Zaning Ordinance.
"Community Facilify Development Project" is a developrr�ent projeck which proposes ta co�struct
o� rehabil�tate community facilities a� proper�y that alfows such use as defined by the City of
Fort Worth Zoning Ordinance.
"Eligible Rehabilitafion"
Rehabilitation does NOT
andlar s�pplies).
includes only physical improvements to reai property. Eligible
include personal praperfy (such as furniture, appiiances, equipment,
"Gross Floor Area" is msasured by taking the outside dimensions of the building at each flaor
leve3, except that portion of fhe basemenf used aniy for utilities o� starage, and any areas witi�in
the building used far off-street parking.
°Minimum Buildrng Sfandards Code" is Articfe fV of the Fart Worth City Code adopted pursuant
to Texas Lacal Government Code, Chapters 54 and 214.
"Minorify Business Enferprise (MBE)" and °Women Business Enterprise (WBEj" is a minorify or
woman owned business that has recei�ed certification as either a cerkified MBE ar certified
WBE �y either th� North Texas Regional Certification Ag�r�cy (NTRCA) or tha Texas
Departme�t of Transporfation {TxDot), Highway Di�ision.
"Mixed-Use Developmenf Proj�ct" is a dev�lapm�nt project which proposes to construci or
rehabi�itate mixed-use facilities in which residential uses constitute 20 percent ar more of the
tofal gross #loor area, and office, eating and entertainment, andlar retail sales and service uses
constitufe 10 percent or more of the fotal gross floor area and is on property that is (or meets
the re�uiremen#s to be) zoned mixed-use as described by the City of Fort Wortn Zoning
Ordinance,
"Multi-iamily Development Project" is a developmenf �roject which proposes to construct ar
rehabilitate multi-family residentia! living units on property t�at is (or meefs th� requirements to
be) zoned multi-family or mixed use as defined by t�e City of Fort Worth Zoning Ordinance.
"Reinvesfinent Zon�" �s an ar�a d�signated as such by the City of Fort Worth ir� accordance
with the Prope�ty Re�e�elopment and Tax Abatement Act codified in Chapter 312 of the Texas
Tax Code, or an area designafed as an er�terprise zone pursuar�t to the Texas Enterprise Zone
Act, codified in Chapter 2303 of the Texas Government Code.
�
A.
MUNICIPAL PROP�RTY TAX ABATEMENTS
RESIDENTIAL PROPERT[ES LOCATED IN A NEZ: FULL ABATEM�NT FOR 5
YEARS
�
1. For resi�e�fiai property purchased before NEZ designation, a�ameowner shala be
eiigible ko apply fior a tax abatement by meeting the following:
a. ProperEy is owner-occupied a�d the primary residence of the �om�owner priar #o
the final NEZ designafEon. Homeawner shall pro�ide proof af own�rship '�y a
warranty dee�, affidavii af heirs�ip, or a prabated will, and shall sf�ow proof of
primary residence by hamestead exempfion; ar�d
b. Homeowner musf per�orm Efigi�le Rehabilitation on fhe property after NEZ
designation e�ual to or in excess of 30% of the Base Value af the properEy; and
c. Proper�y is not in a tax-delinquent staius when the abateme�t appEication is
submitted.
2. F'or residential property �urchased after NEZ designation, a homeowner shall be
eli�ibl� #o apply �or a tax abatement by meetir�g the fof�owing:
a. Property is newiy constructed or rehabilitated after the date of final NEZ
designaiion, and
b. Property is owner-occupied and is the primary r�sidence of the homeown�r.
Homeawner shall provide proof of ownership by a warranty deed, affidavit of
heirship, or a probated wif�, and shall show proof of primary residence by
homestead exemAtion; and
c. For reha�i�i#ated property, �ligible Rehabilitafior� costs on the property shall be
equal to or in excess of 30% of th� Base Value of the praper�y. The seller or
awner shall pravi�e the City information fo support rehabiEitation costs; an�
d. Prop�rty is not in a fax-delinquent status when the a�atement application is
submitfed; and
e. Properfy is in conformance with the City of Fort Worfh Zaning Ordinance.
3. For investor owned single famify properiy, an investor shall be eligible to apply for a
tax abatement by meeting the foliowing:
a. Property is newiy constructed or re�abilitated by the inves#or after NEZ
ciesignation; a�d
b. For rehabilitated property, Eiigible Rehabilitation costs on the proper#y shall be
equal to or in �xcess of 30% of th� Base Value of the prop�rty; and
c. Property is not in a tax-delinquent status when the abatement apPiicatiort is
submit#ed; and
d. Property is in conformance with the City af Fort Worfh Zoning Ordir�ance.
B. MULT!-FAM�LY DEVEI.4PM�NT PROJECTS L.00AT�D EN A N�Z
1. Full Abatemen# for 5 years
In order to be sligible for a praper#y iax abatement, upon completion, a newly
consfructed or rehabifitated multi-family �evelopment �ro�ect in a N�EZ must satisfy
the foilowing:
At leas# twenty percent (20°/o) of the total �nits canst�ucted or reha�i[itat�d shall
�e affordable (as defined by the U. S. Department of Housing and Urban
Develapment} fo persons with incomes at or be�ow eighty percent {80%) of area
median income based on far�ily size and such units shall be set aside fflr
persons at ar below 80% of #he med�an income as defined by the U.S.
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Department of Housing and Urban Development. City Council rnay waive or
reduce the 20% affordabiiity requirement on a case-by-case basis; and
(a) Far a multi-family development project cons#ruc#ed after NEZ designatian, the
praject must pro�ide at f�ast fEve (5) residential living units OR F�ave a
minimurn Capital {nvestment of $2QQ,000; or
(b) �'or a rehabilitation project, ihe property must be rehabilitated after NEZ
designation. Eligible Rehabilitation costs on the property shafl be at �east
30% of the Base Vafue a� the prop�rty. Such Eligible Renabiiitation costs
must come from t�e rel�abiGtation of at least five (5) resid�ntial living uniis or
a minim�m Capi#al Investment af $200,000.
2. 1%-� 40% Abatement of City Ad Valorem taxes up to 10 y�ars
If an applicant app�ies for a iax abatement agreement witi� a term of more thar� five
years, thfs sectio� shaEl appiy.
Abatemenfs for multi-family develo�ment projects for up to 10 years are subject to
City Council approval. T�e appficant may apply with the Housing Depar#ment for
such abafamertt.
Years 1 tht'ouph 5 of the Tax Abatement Aqreement
Multi-family projects shall be eligible for 100% abatement of City ad valorem taxes
for years or�e through fi�e of fhe Tax Abatement Agreement upon the satisfaction of
the foflowing:
At least twenty percent (20%) of the total �nits constructed or �-ehabilitated shall be
affordabie (as defined by tne U. S, Depa�tment of Housing and Urban Development}
io persons wi#h incomes at ar below eighty percent (80%) of area median income
based on family size and such unifs shall be set aside for persons at or �elow 80% of
tf�e median income as defined by the U.S. Departi-nent of Housing and Urban
De�elopment. City Council may waive or redUce the 20% affordability requirement
on a case-by-case basis; a�d
a. For a muiti-family developmenf project consiructed af#er NEZ desigr�ation, the
praject must provide at least five {5} residentia� fiving units OR have a minimum
Capital Investment of $200,000; or
b. For a rehabilitation project, the property musf be rehabilitated after NEZ
designation. Eligibl� Re�abilitatian costs on the property shall be at leas# 30% of
t�e Base Value of fF�e properiy. Such Eligible Rehabilitation casts must come
from the r�habilitafion of at least fi�e (5} residential living Uni#s ar a minirrium
Capital Investment of $200,O�D.
Years 6 tF�rouph 10 of fihe Tax Abatement Aqreement
Mulfi-farrtily projects shall be eligible for a 1-100% abatemeni of City ad �alorem
taxes for years six through ten of the Tax Abatement Agreem�nt upon the
satisfaction af the fallowing:
a. A# feasi twenty percent {24%} af tt�e total �nits constructed or r�ha�iiitated shall
be affordable (as defiRed by the U. S, Department of Hausing and Ur�an
Development} to persons wifh incomes at or below �ighty percent (80%} af are�
�
median income based on family siz� and such u�its shall b� sef asi�e for
persons at or below 80% of the median income as defined by the U.S.
Department of Housin� and Urban De�e�opment. City Council may waive or
reduce the 20% affardabiliiy r�quir�m�nt on a case-by-case basis; and
�. For a multi-family de�elopment project constructed after NEZ des��nation, the
project must provide at least five {5) residential living ur�its OR have a
rninimum Capital Inves#ment of $200,000; or
2. For a rehabilitation pro}ect, the property must be rehabilitated after NEZ
designation. Eligible Rehabilitation costs an ti�e properfy shaE3 be at feast
30% of #�e Base Value of #he properfy. Such Eligible Rehabilifation costs
must come from the reF�abilifafio� of at least five (5) resideniial living units ar
a rrzinimum Capital Investment of $200,000.
b. Any at�er terms as City Councif of t�e Cify af �orf Wor#h deems apprapriate,
including, but not fimited to:
1. utilization of Fort Wo�fh companies for an agreed upon percentage of t�e total
costs for constructian contrac#s;
2, utilization ofi ce�ified minority and wamen flwned business enterPrises for an
agreed upon percentage of the total costs for construction cantracts;
3. property inspection;
4. commit to h�r� an a�reed upon �ercentage of Fort Worth residents
5. cammit ta• hire an agreed upon percentage ot Central City residents
8. landscapir�g;
7. tenant selection plans; and
8. rr�anagement plar�s.
C. COMMERCIAL, INDUSTRIAL AND COMMUNITY �ACIL.iTIES DEVE�OPM�NT
PROJECTS LOCATED !N A NEZ
�. ��If Abatement for 5 years.
In order to b� eligibie for a property tax abatement, a newly constructed or
rehabiiitated commerciailindustriai and cornmunity faciiities de�elaprr�ent project in a
NEZ must satisfy the following:
a. A commercial, industrial ar a comm�nity facilities de�elopment project
constructed after NEZ designaiion must have a minimum Capitaf In�estment of
$75,000; or
b. For a rehabilitafian project, it must be rehabififated after NEZ designation. Eligible
Rehabilitakion cas#s on the praperty st�alf be at least 30% of the Base Value of
the properiy, or $75,000, whic�e�er is greater.
2. 1%-100% Abatement of City Ad Valorem taxes up to 10 years
If an applicant a�plies for a tax abatemenk agr�ement vuit� a term of more than fiv�
years, this section shall apply.
Abatement agreemer�ts for a Commercial, lndusfrial and Community Facifities
Development projecfs for up fo 10 years ar� subject to City Council approval. T�re
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appiicant may apply witn fhe Ecanomic and Comrr�unify Develapment Depariment for
such abatement.
Years 1 throuah 5 of #he Tax Abatement Aareement
Corri�nerc3al, lt��ustrial anci Community �aci[ifies Develapment projects shall be
eligi�le for 100% abatement of Cify ad valorem taxes far the first five years of the
Tax Abatement Agreement upon the satisfaction of t�e foilowirtg: ,
a. A cammercial, indus�rial ar a eomrnunity faci�i#ies deveRopment �roject
canstructed after NEZ designation must have a minir-num Capital Investment of
$75,000; or
b. For a rehat�ilitatian praject, it Tnust be rehabilitated after NEZ designatian. Eligible
Rehabi�itation costs on the property shall be at least 30% of the Base Val�e of
the property, or $75,000, whichever is greater.
Years 6 throuqh 10 of #�e Tax Aba#ement Aqreement
Cammercial, Indusfrial and Communify Facilities Develapment projects shall �e
eligible far 1%-10�% abatement of Ci#y ad valorem taxes far years six througf� ten of
the Tax Abatement Agreement upon the satisfaction of the �ollowing:
a. A commercial, industriai o� a cornmunity faciliiies developrnent project
constructed afker NEZ designation must i�ave a minimum Capifal investme�f of
$75,OOQ and must meet the requirements of su�section (c} below ; or
b. For a rehabilita#ion �roject, it musf be rehabilitafed after NEZ designation. Eligible
Rehabilifation costs on tY�e praperty shal� be at least 30% af the �ase Value of
ti�e property, or $75,OD0, whichever is greater ar�d meet fhe requiremen#s af
subsection (c) beEow.
c. Any other terms as Ciiy Council of the City of Fort Worth daems appropriate,
including, but not limited to:
1. uti]izatian of Fort Warth companies for an agreed upon percentage of the totaE
costs for construction contracts; .
2. utifization of certified minority and wom�n owned �usiness enterprises for ar�
agreed upon percentage of the tofal costs for constructian contracts;
3. commit to hire a� agreed u�on p�rcentage of Fort War#i� residen#s;
4. commi# to hire an agreed upon percentage of Central City residents; and
5. landscaping.
D. MIXED-USE DEVELOPMENT PROJECTS l.4CATED IN A NEZ
1. Full Abatement for 5 y�ars.
ln order to be eligible for a property iax abatement, upon compl�tion, a newiy
constructed or rehabiiitated mixed-use development project in a NEZ must satisfy #he
following:
a. Residential �ses in the project constitute 24 perceni or more o� fhe total Gross
Fiaor Area of the project; and
b. Office, eafing and errtertainment, andlor retail sales and service uses in #he
project cansfitute 10 percent or more of the tatal Gross Floor Area of the project;
and
C�
(� ) A rr�ixed-use development project constructed after NEZ designation must
have a minimum Capital Investm�nt of $2�0,000; or
(2} For a rehaf�iEitation project, it rnust be rehabilitated after N�Z designa#ion.
Eligible R�habilitation costs on the property shall be at I�ast 30% of the Base
Value of the property, ar $200,000, whichever is greater.
2. �%-900% Abatement of Cify Ad Valorem taxes up to 10 years
Ef an applicar�t applies for a iax abateme�t agreement wifh a term of more than five
years, this section �hali apply.
Abatements agreements for a Mixed Use Developmen# projects for up to 10 years
are subjec� to City Co�ncil approvai. The applicant may apply with the Ecanomic and
Community Developrr�ent Departm�nt for such a�atement.
Years 1 throuah 5 of the Tax Abatement Aqreetr�ent •
Mixed Use Develaprr�ent projects shall be eligible for 1 QO% abatement of CEty ad
valorem taxes for #i�e first five years of the Tax Abatement Agreement upon the
satistaction of the following:
a. Residential uses in t�e project constituie 20 �ercent or more af the tatal Gross
Floor Area flf the �roject; and
b. Office, eating and entertainment, andlor retail sales and service uses in t�e
project constitute 10 percen# or more of fhe tota! Gross Floor Area of the �roject;
and- .
c. A new mixed-use development project constructe� after NEZ designation must
have a minimum Capital Investment of $200,flOQ; or for a rehabilitation project, it
must be rehabiiitated after NLZ designation. Eligible Rehabilitation cosfs on the
property shall be at least 30% of t�e Bas� Value of the proper#y, or $200,000,
whichever is grea#er.
Years fi#hrouah 10 af the Tax Aba#ement Aareement
Mixed Use �ev�iapmeni prajects shall be eligible for �-100% abatement of City acE
valorem taxes for years six thro��h ter� of the Tax Abatemenf Agreement upon th�
satisfaction of the �oflowing:
a. Residenfial uses in fhe project constit�te 20 percen# or more of the total Gross
F�oor Area of the praject; and
b. Office, eating and enter#ainmen#, and/or retai� sales and service uses in the
project cc�nstitute � 0 percenf or more of the total Grnss �loor Area of the �roject;
c. A r�ew mix�d-use develapment project constructed aft�r NEZ designatton m�tst
nave a minim�m Capitai In�estment of $200,000; or for a rehabilitation project, it
must be rehabilftated after NEZ designation. Eligible Rehabilitation costs on the
p�operty shal! b� at least 30% of the Base ValUe af the property, or $200,000,
whichever is greater; and
d. Any other terms as City Council of the City of Fort Warth desms appropriate,
including, but not limite� to:
�. utilization of Fort Worth companies for an agree� upon percentage of fhe
total cos#s far construction contracts;
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2. utilization of certified minority and women owned business enterpr�ses fior
an agreed upon perceniage a� fhe iota! costs for construction contracts;
3. property inspection;
4. commit to hire an agreed upon percentage of Fort Wor�f� residents
5. commit to hire an agreed upon percentage of Cen#ral Ci#y residen#s
6. landscaping;
7. tenant selection plans; and
8. management plans.
E
ABATEMENT GUZD�LIfVES
If a NEZ is located
on a case-by-case
to eligible projects.
Section Ifi.
in a Tax Increment Financing District, City Council wilf determine
basis if the tax abatemenf incentives in Section III will be offered
Eligible projects m[ast meet all sligi6ility r�quiremants specifiec{ in
2. In order to be eligible to ap�ly tor a tax abatem�n#, #he �roperty owner/developer
m�st:
a. Not be delinq�aent in paying proper#y taxes fior any property owned
owner/developer ; and
b. Not have any City of Fort Warth liens filed agaEnsf any property owr�ed
applicant property ownerld�veio�er. "Lie�s" include, but are not limited to
liens, demolition liens, board-up/open structure liens and paving lierts.
3. Properties under a contract for deed are not eligibie for tax abat�menf.
by the
by the
weed
4. Once a NEZ prope�ty owner of a residentia! pro�erfy (including muiti-family) in the
NEZ satisfias fhe criteria set forfh in Sections III.A, �.1. and E.2, and appiies for an
abatement, a property awner must �nter into a tax abatement agreement with tne
Cify o� Fo�f Wor�h. The tax abatement agreernent shalf automatically terminate if the
pra�erty sUbject #o the tax abatement agreement is in viofation af the Cify af Fort
Warth's Minimum Buil�ing Standards Code ar�d ihe owner is cor�victed of such
vialation,
5. A tax abatement granted under the crit�ria set forth in Section lil. cart anly be
granted once for a praperfy i� a NEZ for a maximum term of as specif�ed in the
agreement. Ifi a property on which tax is �eing abated is sold, fhe Ci#y will assign the
tax abatem�nt agreement for the remaining #errn once the new owner submits an
ap�licafion.
6. A property ownerldeveloper of a m�ltifamily deve[opment, commercial, industrial,
comm�nity facifities artd mixed-use development project ir� ti�e NEZ who desires a
tax abatement under Sections IIf.B, C or D must:
a. Satisfy the criteria set forth in Sections IIl.B, C or D, as applicable, and Sections
f II. E,1 E.2; and E3, and
b. File an application witt� the Housing Departmenf or the Economic and
Community Development Department, as appficable; and
E:j
c, Th� praperty owner must enfer into a tax abafeme�t agreement with the City of
For# Worth. in addition io ihe other terrr�s of agreement, the tax abatement
agreemen# shall provide that the agreement shall automatically terminafe ifi the
owner receives one co�rviction of a v�olation of the City of Fort Worth's Min�mum
BuEldir�g Star�dards Code regarding ti�e property subject to fhe abatement
agreement during the teri-n of the tax abatement agreemen#; and
d. If a property in the NEZ on which tax Es �eing abated is sold, the new owner
may errter inta a kax abaternent agreement on the pro�erty for the remaining
term.
F'. APPLICATION FEE
1. The appEication fee for residential tax abaterr�ents go�erned �nder Secfion III.A is
$25.
2. The application fee for mufti-family, commercial, indus#rial, community fac�lities and
mixed-use development projects governed under 5ections III.B, C.1 and D.1, is one-
half of orte percent (0.5%) af the proposed praject`s Capital Investmenf, noi to
exceed $1,Q00. The aPpfication fee wiil be refunded upon issUance of cer#ificat� of
final occupancy and once the property owner eniers into a tax abatement agreement
with the City. Otherwise, the Application Fee shall no# be credited or ref.unded to any
party for any reason.
IV. �EE WAIVERS
A. ELIGIBLE RECIPlENTSIPROPERTIES
�. In order to be eligible to app�y for fiee waivers, the pro�erty ownerldevefope� must
a. Not be delin�uent in paying property taxes for any property owr�ed by the
ownerlde�eioper ar applicant; and
b. Not have any City iiens filed agains# any property owned by the applicant property
own�r/de�eloper, including buk nat iimited ta, weed liens, demoii#ion liens, board-
uplo�en structure lier�s and paving liens.
2. Properties under a con#ract for deed are not eligible for develo�ment f�e waivers.
3. In arder for Developmeni �ees and/ar fmpact �ees to be wai�ad �or new construc#ion
or rehabilitation projects locaied in #he NEZ, a property awner must submit ar�
applicafion #o the City.
Approval of the application and waiver af the fees shall nof be deerned to be
approval of anV aspeCt of the prolect. Before construction, i�e applicant must
ensure that the proiec# is located in f�e carrect zaninq district.
B. DEVELOPMENT FE�S
Once the Applicafion for NEZ Incentives has been approved by the City, the following
fees for services performed by fhe City of F'ort Worth for projects in the NEZ are waived
tor r�ew constructian projec#s or rehabilitation �rojecfs fha# expend at least 30% of the
Base Value af the pro�erty on Eligible Rehabilitation costs:
0
1. Ail building permit rela#ed fees (including Plans Review ar�d Ins�ections)
2. Plat application fee (including concept plan, preliminary pla#, final plat, shor# form
replat)
3. Board of Adjustment applicatior� fee
4. Dernolition f�e
5. Str�cture movin� �ee
6. Community �acilities Agreement (CFA) application fee .
7. Zoning application fee
8. Street and utility easement vacation appEication fee
Other development related fees not specified above will be considered far a�proval by
City Council on a case-by-case basis.
C. IMPACT FEE
1. Single fam�iy and multi-family residential development projects in the NEz.
A�afomatic 100% waiver af water and wastewaier impact �ees will be ap�lied.
2. Commercia�, ind�strial, r�ixed-use, or cammunity facifity development projects fn the
N EZ.
a. Au#omatic � 00% waiver af wafer and wast�water impact fees up to $55,000 ar
equivalent #o finio 6-ineh meters for each commerciai, industrial, mixed-use or
community facility development project.
b. If the projeci requests ar� impact fee wai�er exceeding $55,000 ar requesting a
waiver for larger andlar more thar� two 6-inch meter, then City Counci! appraval is
re��ired. Applicanf may req�est #�e additional arr�our�t of impact fee waiver
through the Housing Department.
V. RELEASE 0� CITY LfENS
T�e following City liens may be released for eligible properties or projects in a N�Z:
A. WEED LIENS
The folfowing are eligible fo apply for release of weed liens:
1. Sin�le unit owners performing reha�ilitatian on their pro�erties.
2. Builders or developers constructing new homes on vacant lots.
3. Owners p�rforming rehabilitation on multi-family, commercial, industrial, mixed-use,
or community facility properties.
4. Develop�rs constructing new mu[ti-family, cammercial, industrial, mixed-�se or
community facili#y devefapment projects.
B. DEMOLITION LIENS
10
Bui�ders or developers deve{oping ar rehabiliiating a properfy are eligib�e to apply for
release of demolition lierts for up to $30,000. Release of demolitian liens in excess of
$30,000 is sub}ect to City Council approval.
C. BOARD-UPIOpEN STRUCTUR� LIENS
Th� follawin� are eligible to apply for release of baarc�-�plopen siructure liens:
1. Singfe unit owners performing rehabili#afion on their prop�r�ies,
2. � Build�rs or developers construciing new single famiiy hames on vacant lots.
3. Owners performing rehabilitation on multi-family, commercial, ir�dusiriaf, mixed-use,
or community facility properiies.
4. De�efopers canstr�cting multi-family, commercial, industrial, mixed-use, or
communify faci�ity projects.
D. PAVING LIENS
Tl�e following are eligible ta appiy for release of paving liens:
1. Single ur�it owners performing rehabilitation an their properties.
2. Builders or developers cor�structing new homes an vacant lats.
3. �wners performing rahabiiitatio� on multi-farnily, comrnercial, ind�strial, mixed-use,
or comm��ify facility properties.
4. - Developers constructing mufti-family, commercial, industrial, mixed-use, or
community facility pro�ects.
E. ELIG�B�� RECIPIENT5IPROP�RT{ES
1. In order to be eligible to apply for release of Ciky liens, the proper�y owner/developer:
a. must not be delinqu�nt Er� paying �aroperEy taxes for ar�y property owned by
the awner/developer
b. must r�ot have been subject #o a Building Sfandards Commission's �rder of
Demo�i#ion where the property was demalish�ed within the last five {5) years; and
c. must not have any City of �art Worih [iens filed against a�y other pr�perfy ownetf
by the appficant property owner/developer. °L�ens" inclUdes, bui is not limited to,
we�d li�ns, demafition lier�s, baard-up/open structure liens and paving liens.
2. Prope�ties ur�der a contract for deed are not e[igibfe for release af City liens.
VI. PROCEDURAL STEPS
A. APPLICATlON SUBM[SSION
1. Th� applicant for NEZ incenfives under Sections I11.A, B, C. D., IV, a�d V musi
complete and submit a City of For� Wor�i� "A�plication far N�Z Incentives" and pay
the apprapriate application fe� to t�e Housing Department or t�e Econamic and
ComrrFunity Development ❑epartment, as ap�licabfe.
91
2. TF�e applicant for ince�tives under Sections 1lI.C.2 and D.2 must also camplete and
submit a City ofi Fort Worth "Appfication for Tax Abaternent" and pay the appropriate
application fee to the Eco�omic and Communify DeveEopment Department. The
appEication fee, rev�ew, evaluation and approval will be governed by City of Fort
Wortf� Tax Abatement Policy Statemer�t for Qualifyi�g Development Projects.
B. CERTIFICATIONS �OR APPLICATIONS UNDER SECTIONS IIi.A, B, C.1, D.1, IV,
AfVD V
The Housing Department wifl review the application for accuracy and
completeness. Once complete, Hausing D�partment will certify e[igibili#y of fhe
application based on the criteria sef forth in Section Ilf. A, B, C.�, D.�, IV, and V of
this policy, as applicable. Once an application is certified, the Housing Department
will inform appropriate departments administering the incen#ives about the certified
application. An arientation meeting with City departments and the appEicant may be
scheduled. The de�artments include:
a. Housing Departmer�#: property tax a�atement for residential properties and multi-
family development projects, release of City �iens.
b. Economic and Comrnunity Development Depa�frr�ent: property tax abaiement for
commerciaf,
ir�dus#riaf, communi#y facilities or mixed-use development projects.
c. Develapment Departmen#: deve[opment fee waivers.
�. Water Deparfinent: impact fee waivers.
e. Other appropriate d�partments, if applicable.
2. Once Develapment Department, Water Depariment, �conomic and Community
Development Department, andlor other appropria#e department recei�e a cer�ified
applicafion from the Housing Depart�nent, eacF� departrnent/office shall fill auf a
"Verification af NEZ lncen#ives for Certified NEZ lncenti�es Application" and return it
ta the Housing Department for r�cord keeping and tracking.
C. APPLICATIOfV REVfEW AND EVALUATfON FOR APPLICATIONS
1. Property Tax A�a#ement far Resi�entiai Properties and Multi-family Deveiopmer�t
Projects
a. For a comple#ed and certified app]ication for no more than five years of tax
abatement, with Counci! approval, the City Manager s�alf exec�te a tax
abatement agreernent with t�e applicant.
b. �or a compieted and certified multi-family development project application for
more than five years of tax abatement:
(1) The Housing Department will evaivate a completed and ce�Eified application
bas�d on:
(a} The project`s increas� in the value of the tax base.
(b} Costs to th� City (such as infrastructur� participation, etc.).
{c) Percent of construction confracts committed #o:
(i} F'ort Worth based firms, and
(ii) Minority anci Women Owned Business Enterprises (M/WBEs).
(d) Other i#ems which may be negotiafec! by the City and the applicant.
�2
(2) Cansideration by Council Committee.
Based upon the outcorr�e af the �va�uation, Hausing D�partment may �resent
the apPlication to the City Council's Economic Development Commiftee.
Should the Housing Department present the application to th� Economic
Developm�nt Comm�ttee, the Cammittee will cansider fhe application at an
o�en meetir�g. The Comrnittee may:
(a) Approve the ap�licakion. Staff will then incorporate t�e application into a
tax abatement agr�ement which will be sent to tl�e City Council with the
Committee's recommendation #o approve the agreement; or
(b) Request modifications to the application. Housing De�arkment staff will
disc�ss the suggested r�-iodEficatians wi#h #ne applican# and then, if the
requeste� modifications are made, resubrrtif the modified application to
the Commiftee for considera#ion; or
(c) Deny fhe a�plicatior�. The appiicant may appeaf the Committee's finding
by requesting the City Council ta: (a) disregard the Cammittee's finding
and (b) instruct cify staff to incor�orate the applicatior� into a tax
abatement agreem�nt for futur� cansideration by the City Council.
(3) Canside�ation by the City Council
The City Co�ncil retains sale authority ta approve or d�ny any tax abatement
agreement and is under r�o obligation to approve any tax abaterrzent
ap�lica#ion or #ax abatement agreement. The City of Fort Worth is under no
obligatian to provide tax abatement in any amount or value to any applicant.
c. Effective Date for Approved Agreements
All tax a�atements approved by ihe City Cauncil will become ef�ecti�e on
January 1 af the year following the year in which a Ce�tificate of Occupancy (CO)
is issued far the q�alifying �e�elopment project (unless otherw9se specified in the
#ax a�atemer�t agreement). Unless atherwise specified in the agreement, taxes
fe�ied during the canstruction of the projec# shall be due and payabEe.
2. Property Tax Abatement for Commercial, Industrial, Corr3tnunity Facilities, and
Mixed-Us� D�veiopment Projects
a. F'or a completed and cer�Efied aPpficatior� for no mo�e than five years of tax
abatement, with Council a�proval, the Ci#y Manager shall execute a tax
abatement agreement witi� the applicant.
b. For a completed and certified applicaiion for more thar� five years af tax
aba#emen#:
(9 ) The Ecortomic ancf Comrrtunify D�ve[opment Department wil� evaluate a
complete� and certified application basecf on:
{a) The projeci's increase in fhe value of the tax base.
(b) Costs to fhe Ci#y (such as infirastructure participafion, etc.}.
{c) Percent of cans#ruction contracts cammitted to:
(i} Fort Wort� based firr�s, and
{ii) Minority and Women owned Business Enterprises (MIWBEs).
(�) Ot�er it�ms which may be n�gofiate� by the City and the applicani.
13
{2) Consideration by Council Committee -
Based upon ihe outcome flf the evaluation, th� Econamic and Community
Development De�artment may present fhe application to #he City Cauncil's
Econamic Deveiopment Committee. Should tne Ecanamic and Comm�nity
Development Depa�tment present the application ta fhe �conomic
Development Commitfee, the Committee wifl cansider the application at an
open meeting. The Committ�e may:
{a) Appro�� the a�plication, S#aff will then incorporate tf�e application into a
tax abatement agreement which wil� be sent to the City CoUncii wifh t�e
Cammi#tee's recommendation to approve the agre�ment; or
(b) Request modifica#ions ta #he application. Economic and Cornmunity
Development Depariment staff will discuss the sug�es#e� modifications
wfth fhe a�aplicant and fhen, if the requesfed modifications are made,
resubmit the modified application ta the Committee for consideration; or
{c) Deny the application. The applicant may appeal the Cnmmiiiee's finding
by req�esting the City Council to: (a) disregard the Cammittee's finding
and (b) ins#ruct city staff ta incorparate fF�e app[ication into a tax
abatement agreemenf far f�ture cansideration by t�e City Co�ncil.
(3} Consi�eration by the City Councii
The City Council retains sole authority to approve or deny any tax abatemer�t
agreement and is under no � obligation #o approve any tax abatement
application or tax abatement agreement. The City of Fort Wor#h is under no
flbfigation to pra�ide tax abatement in any amount or value to a�y applicant.
c. Effective Date for Appro�ed Agreements
All tax abatements approve� by the City Counc3l will become effective on
January 1 of the year foflowing the year in which a Certifica#e of Occupancy (CO}
is issued far ihe qualifying de�eio�ment projeck (unfess atherwise specified in the
tax abat�ment agreement), Unless otherwise specified in the agreement, taxes
le�ied during the constructio� af the project shall be due and payable.
3. Developrt�ent Fee Waiv�rs
a. For certified applications of development fee waivers fhat do no# require Cauncil
appro�al, the Dev�lopment Depar�me�t wi�l re�iew the c�r�ified applicant's
application a�d grant appro�rFate incentives,
�. �or certified applications of development fee waive�s that require Council
approval, City staf� wilf review ih� cerfified a�plicanf's applica#ion and make
appropriate recommendations to #he City Council.
4. fmpact Fee Waiver
a. �or certified appiications of impact fee waivers that do not require Council
approval, the Water De�artrnent will review ti�e cer#ified appficant's applicatian
and granf appropriate incen#i�es.
14
b. For certifiied applica�ions of impact fee waivers that require Council appra�al, the
Water De�artment will review the certified applicar�t's application a�d make
appropriate recommenc{ations fo the City Council.
5. Release of City L.iens
For certified applicafions of release of Cify liens, the Housin� Department will reiease
the appropriafe Ifens.
VIt. OTHER RULES PERTAINING TO PROPERTY TAX ABATEMENT
A. RECAPTUaE
If the terms of the tax abatemen# a�reement are not met, the City Council has fh� rig�t to
cancel or amend the abat�ment agreement. In the event of canceEiation, t�e recapture of
abated taxes shall be limited fo the year{s) in which the default occurred �r continued.
B. INSPECTION AND FINANCIAL VERlFICATION FOR MULTI-�AMILY, COMMERCIALI
INDUSTRIAL, COMMUNITY FACILITiES AND MIXED-USE D�V�L.OPMENT
PROJEGTS
T�e terms of the agreement sY�all include the Ci#y of For# Wort�'s right to: (1) review and
verify fhe a�plicant's financia! statements ir� each year during the life of the agreemen#
prior to granting a tax abatement in any given y�ar, {2) conduci an on si#e i�spectEon af
the project in-each year during the iife of the abatement to verify compliance with the
terms of #he tax abaternent agreement.
C. EVALlJAT14N �OR MULTI-FAMILY, COMMERCIALI INDUSTRIAL, C�MMUNITY
FACILITIES AND MIXED-USE DEVEl.OPMENT PROJECTS
Upon. completion af canstruction af the facilities, the City sha�l na less than annua�ly
evaluate each project receiving abateme�t to i�sure compliance with ihe terms of the
agreetnent. Any incidents of non�compliance wif� be reported to the City Council.
On or before �ebruary 1st of every year durir�g the iife of tE�e agreement, any
inclividua[ or entity recei�ing a tax abatement from fhe City of For� Wor�h s�all
provide �nformation and documenta#ion which de#ails the pro�erty owner's
compliance with the ferms oi �he respecfive agreement and shall cerEify that the
owner is in compliance with each applicab(e term of the agreemenf. Fai�ure to
report fhis information and to provide the required cerfification by the above
deadline shall result in cancellation of agreement and any taxes a�at�d in fh�
prior year being due and payable.
D. �FFECT OF SALE, ASS�GNMENT OR LEASE OF PR�PERTY
If a property in the NEZ on which fax is bei�g abated is sold, the new awner may enter
into a fax abatement agreement an the property for the remaining term. Any sale,
assignment or lease of the prop��ty which is not perrnitted in #he iax abatemen#
agreement results in cancellation of the agreemer�t and recapfure of any #axes abated
afi�er the date on whic� an unspecified assignment occurred.
15
VlII. OTHER INCENTfVES
A. Plan re�iews of proposed development prajecfs in the NEZ will be expedited by �the
Develapment Department.
B. The Ciry Council may add the follawi�g incentives to a NEZ in the Resolution adoptir�g
the NEZ:
1. Munici�al sales fax refund
2. Homebuyers assistance
3. Gap financing
4. L.and assembly
5. Conv�yance af tax foreclosure proper�ies
fi. Infrastructur� improvements
7. Sup�orf for Low fncome Housing Tax Credit (LIHTC) appficatior�s
8. Land use incentives and zoninglbuilding code exemptions, e.g., mixed-use, density
bonus, �arking exemption
9. Tax Incremen# �inancing {TIF)
10. Public Improvement District (PID}
� 1. Tax-exempt �ond financing
12. New Modef Bfacks
13. Loan guaraniees
'f 4. Equity investments
15. Other incentives that will e�fectuate the intent and purposes of NEZ.
i[:
Exhibit �B
3136 Eastcrest Court Lot 1, Block 1 Eastcrest Addition
Exhibit C
Project Description
Single Fami�y Residence
90% Brick Veneer
i 500-190a square feet
3 Bedroomsl2 Baths
Two car garages
Arched W indows at Front of House
Front Yard Landscaped
Microwaue with built-in Vent-A-Hood
Wood Burning Fire Place
Built-in Security System
Computer Area with CPU & Printer with a dedicated telephone line
Vauit�d Ceiling in Master Bedroom ar�d Living Room
�rench Doors
Separate TublShower in Master Bathroom
Garden Tub in Mater Bathroom
�x��� �
F�RT �ORTH � �
Application No. �� � � f � r �
CZTY OF �ORT WOI�TH
NEIGHBORI�40D �MP�WERMENT ZONE {NEZ) P�2.OGRANX
PROJECT CERTIFICATTON APPLICATZON
FORM B F4R ZI`r'VESTOR OWNE�2S (��NGLE FAMILY ONLY}
I. APPLTCATI4i'3 CHECI� LrST
l'lease submit �he. �'ollawing documentatian with each properiy requested:
�--Y h .' � 5� , . � .
A cornpleted"applicaiaonl%zin �`� �
. ,,+.[]._ . j A lisi of:all-,pr�perties�owned,by the applicant in Fdrt VJorth �
[� Applica�ian fee af�$�5�00 {for tax abatement app�icatioi�s onl,y} �
❑ Proaf af o���ners�ip, such as a vvarranty deed, affidavit o� heirship, or a prabated wil� OR
evidez�ca of site°coz�trol, such as opt�on to buy - � ��
� Titie abstxact=of the prapexty (optianai) = � � � '
For Rehabilitation Praiec.ts Onl�r: ' �
�❑ For a praject in the planni�g stage, please submit a comuleted set of Rehabi�itatior� �
.• 'fRemodel) �lan and a list of eli�ible rehab��itat�an.c.osts*; (for �pplicatio�zs of tax ���
abatements and development fee «�aivers far re�ab prQj ecfs only)
❑ flnce a project is completed, please su�imit proof o'f ihe eligib�e rehabilitation costs'� such
� as invoices, con�racts, or receipts. (�or applications of tax aba�ements only) �
�` Bligible rehabilitation includes only physi�al impro��ements to real praperty. It does NOT include personal
property such as fiuniture, appliances, eqni�ment, and/ar supplies. Total eiigible rehabi�itation easts shall equal
to or exceed 30% of the Tarrant Counry Appraisal Dzstrict (TAD),appraised value of the stnlcture during the
year rehabilitation occurs.
! TI. AppIicant / AGENT INF�RMATION � � . •
1. Applicauf: � • 2. Contact Person:
���r �r�l u_,�,_�vs�� fi�;u,a�la��oex.r�rfl�..� . , �aiv,��.� t�6�''
, 3. Address: dPrC'.�'.�d re1 �T" ��' � ��. Y"TG�aZ.
� �tr�� —� ` � Cif3��-� TState . Zip
� 4. Phone no,. �! �-�71�i3/3 S. Fax I'�o.: �il �f�T� 73?�
b. Enaail: G�Cn�� ��G1,F�r-�+Ya,��.TY; US
7. Agent (if an�r) `� . _ .
8: A.ddressr
. St�-eet City State . Zip
9. Phane no.: .�� - I0. Fax No.: �
1�. �rrzail:
� Tf ��au neec� further i�formataon or clarf#"�catio�, please contact Cht�n-I Lu at (817) 871-73�1 or
Bea Cura afi ($1.7} 871-8036.
�� .- . .. --�
. _ ,_.
0
�
Fo�T WoRTH � . - � �
. - , ��� .
�II. PROPERTY �LIGIBILITY
1. Please Xist do�vn the addresses and legal descriptzons of #he properiy `vhere you are applying
for �vrEZ inceni�ves and other properties ��ou own in Fort Worih'. Attach metes and bounds
description if no adc3ress or legal description is a��ailable. �
'�'able X Propert;y Ownership
Address
(Project Locaiion)
Zig � Le�al Descrzption
Code l Subdivzsion Lot Nfl. � Bloci� No.
I . �I � .
�71,�,�p' � �D .. ,a�
�
.�7"..4 SSd�v$��t;.��v,�� - .g AG��s
� ����Y I � � .
{ - � I -1
f .I I
! J I
,
(Please atfactt additional sheets of paper as needed.) � �
2. Far each pxoperties listed in Table 1; please check the boxes belo�v to �nc�icate if:
• there are ta�:es due; or j� �
• there are City liens; or � Q
• yau hav,e been subject to a Building Standards Coznmission's Order of Demol�iian whe�-e t1�e
property was deznoli'shed within tI�e last five years. � p
Tab[e 2 Propert�r Taxes and City Liens
.� , Address Piroperfy I City Liens on Property '
. `:' `�_? . - � :'s-,= :�: . Ta7C�s ..., =Weed Boaz�d-nplOpen .;..Demolifion �� Par�ing - Order of-.
` � �� � - ` �� � �; • � - :: ':Due �- Liens 'Stucture Liens � �,iens �� : Liens Demolition�
� � .❑ . ❑ __ - ❑ ❑ ❑ I
; _ . : . . I �o� --1�; , .-Q:._� �_. .o . �1.: ❑ � ❑
� . - - :a-� o-.- .. � . _ �❑. - ❑ _ ❑.
. _ �l: _. _ .�_ � . . .
� � -- - -.. � . �= � -_ _� 0 � - . � �.�:�. - � � � � � � .
I _ . � � o� ❑ - - o -- � ❑ ❑-- o
. � . , ❑ ❑ o -. � . :=- � ❑ _ �` ❑ ❑ . �
1 � � ��C� � � - � ���- �-� � � C7 - ❑ � ❑ �
I - ❑ l❑ ❑ I❑ fl I ❑ I
.(Piease attach addztior►al sheets of paper as neer�ec�,)
_F �
3. Do yott o�vn ofher pz'ogerties �nder ofher names? ❑ Yes,�,No
X£ Yes, p�ease specif�
4. lloes ihe praposed development canfoz-m ���ith Ci#y� of Fort ''JF'orth Zoning? +0 Yes
� 5. �s this pro�ert�� under a con�ract for deed? ❑ Yes � �I�Ta
2
❑ No
:��
� r �ORT V�QRTH
6. I�as the construction on the propert3� been cvmpleted or is xt in the plannang stage? What
i��pe af canstrucf�on?
� Const�Yction Comnleted iil Under Construc�ion �rn Plannin� Sta�e
❑ New Construction 0 Rehab a New Corash-uction [] Rehab �Nev�� �onstruction Q Rehab
7. If the eon�s�ructioz� on fhe property has been completed when this a�apiicafion zs suhmitted,
v��hen �iras the �i�ai�k done7 �
8. - If it xs a rehab property, does (or witl) the rehabilitation tivork* done on the properiy equal
to at least 3�°!o af the Tarrant County� Appraisal District {TAD) assessed va�ue of the
struciuY•e during the year rei�abilita�ion (remoc3eled) occurred? ❑ Yes ❑ i�Io
'�Only physical irr�.provements to real property is eligibte. DO N�T include personal property
such as f�rniture, appliances, equipment; andlor supplies.
�V.� . s.5 ZNCENTIVES : , .. , . . . . • ,, �
1._ .].. Whatincenfives are ��ou appl3�i�g �For?; -
(� Munici�al Pronertv Tax Abatements �� �
� � De4�elonment Fee Waivers - � �
� A1I building permit related,fees {includirig Plans Review and Jnspect�ons}
��ar�v rnuch is S�au.r tatal deveIopmen.t costs? $ j� ����� d
� Haw much zs t�e �otal squara footage of your proj ect? � squaTe �eet
.- �, Plat applicatzon fee (including coricept plan, preliminaz-y plat, finaI �Ia�, short form replat)
� BQard of Adjustment a�plication �ee
❑ Dernolit�on fee
" [� Structizre moving fee � :
, � G4Tt7�211ilnity, Facilities Agreement-(CFA} a�plicaiian fee •. , � ., . - • � ��
� 7,aning appliaation �ee � ' � . . •. -
. � Sri-eet and utility easement
Imnact �'ee Gsr'aivers
�. Impact �ee wazver �� :
� . Meter �ize ,��� How many meters? �� �
� Release of Citv Lien,s
�] V�eed liens .
[] Boazd upiopen s�ructure liens
: `' [� Deznoiif�an Iiens �
� � ❑ Pav'rng liens ,
�
�
�
FaRT'�oRTx
V• ACKNOWI,EDGMENTS �
T hereby certify that the in#'armaiior� provided is true and accurate to the best of my knowledge. I hereby
acknowledge that I have received a copy Q��Z Basic Zncentives, ��
abatements, fee�waiveis and release of City �iens, anc� that any VIOLATION of the t rn s of th� NEZ
Basic �centives ar MISREpRESENTATION shall constitute gro�nds for rejection af an applicatian or
terminatian of inc�n�ives at the discretion of the City.
I understand that the approvat of �ee waivers and o#her zncen�ves shall not be deemed to be approval of
any aspect of the proj ect: i understanc� that X arn responsib]e in ai�taining raquired perm2ts and
znspeciions frozri the City and in ensuring the project is located in t1�e cozrect zoning disfrict,
I agree ta provide any additional information fox determining eiigibility as requested by the City,
..� �o� � C. 1�,�G�L;e ' �%%
TYPED NA �-�� •' L�`�-t- �— _ � 2,� dt.t�
i ME) {AUT� ORIZED S�GNATIIRE) ' A� �
)
- - Please mai�; fax oi emaii � our �applicahon <ta -= - -
_ :. C�fy a�Fort V4`'ol th, �ibus�ug Departnr3ent = `�
_ _ 1000 Throciunortan �treet, I'ort Wort}�',; TeaaS 76102. - -
� �: _ - _. { (8��7j 87�:°-7328;: : _ - _ - -
- _ - : ...- � _ - LuC@cr.fort=�vori�;fx.us = `- = -� _ - - _
El�ct�ronic version of this form is available by request. 1'lease cal� 817-871-7381 to reques't a'co .
PY
For Office Use Only �
,. >App�ication No... SSC��� �' In vvhich IVEZ?
� TA.D ID ' ,���" Conform with Zoning? ��D.y�s � �No
� � Contract for deed? -❑ Yes f,] No Typ�? [�.New canstruction ❑:Reh�b
Cons�-uction compI�tion date? ❑ Before NEZ �{'tez �Z -
Q ���vnership � yes � No
Rehab at ar higher than 30%? ❑ Yes �
❑ No Consistent with the NEZ pIan'? � Yes [] No�
Tax current on this property? � y�� _
❑ No Tax ctirrezit on other properties? � Yes�� 0 No .� �
City lians on this property? City Jiens�on other properti�s?
• Weed liens ❑ Yes � No • Weed liens
� Board-up/open siructure liens . ❑�'es � No
� ye� � No • Board-up/open siructure liens [� Yes [� No
.• D�molition liens ❑ Yes X No .
� Demolition �iens ❑ Yes �]/ No
• Paving liens ❑ Yes 0 No . Pat�ing Iiens ,.
. Order of demolition ❑ Y�s � No
� ❑ Yes �Q No . Order of demoIit�on ❑ Yes �j No
Certified? � yeS �] No Certified by . Date certificaiion iss��ert� ' 1
If not certified, reason ��
Re�'erred to: ❑Economic De��elopment
Re��ised Augnst 23, 200I
/� � �
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OHousing [�De�=elap3nent [�Water ❑Code �TPW
0
4
City of Fort i�Yo�th, Texas
Mayor �nd Council Communic�tion
_
. DA�E REFERENC� NUMBER LOG A�ViE PAGE
�91�4102 �_'19235 �_� o�NEZ I 1 of3
' SUBJECT AUTHORIZATION TD ENTER INTO TAX ABAT�MENT AGREEMENTS WITH THE
FORT W�RTH HOUSING �INANCE CORPORATION F'OR THE DEV�LOPM�NT OF
SlXT�EN SINGLE-FAMILY HOMES �'�R THE EASTCREST SUBDIVISION LOCATED
!N THE STOP SIX NEIGHBORHOOD EMPOWERMENT ZONE _
REC4MMENDAT��N:
It is recommended #hat the City Council:
1. Apprave ihe Fo�t Warth Housing Finance Corporation (FWHFC) application for Municipal Property
Tax Abat�men# for the Eastcrest Subdivision; anci
' 2, Find fhat the statements s�t forth in the recitals af the attached Tax Abatement Agreements (the
Agreemenis) wEth FWHFC are true and correct; and �
3. Authorize the C�ty Manager to enter in�a tax abatement agreements with
of sixieen single-famify homes in the Eastcrest SubdE�isian lacated in
Empow�rment Zone (N�Z), in accardance with t�e NEZ Basic Incentives.
17F��i�I•�yL�I��
FWHFC for the development
ihe 5to� 5ix Neighborhaod
The FWHFG is #h� de�eloperlowner of the Eastcrest Subdi�ision in the 4744 Block of East Berry Street
and Eastcresf Cour# loca#ed in NEZ No. 1:
The FWHFC ap�alied for municipal property tax aba#ement under the NEZ Basic Incentives (M&C G-
� 3208R dated Jur�e 5, 2002, M&C G-� 3580 dated A�ril 2, 20p2, as amended, and M&C G-13662R
dat�d July 23, 2002, as amended}. The Housing Department Y�as reviewed th� ap�lication and certified
that the prope�ty meets the eligibiiity criteria to receive NEZ municipal proper#y tax abatement. The
NEZ Bas�c Inc�nti��s o#fers a five-year munic�pal praperty tax abatement of the increased value of
improvements io a developerlowner of any new hame canstructecl within a NEZ.
Upon execution of the Agreements, the totai assessed value of each home in the Eas#crest 5ubdivisian
used for cafcufating municipal property tax wik! be frozen far a five-year period, skarting on January 1, of
the year following the year in whicYr the home is sold, at the pre-improvement value of each lat as defined
by the Tarrant A�praisal District (TAD) o� January 1, 20�2, as follows:
• Pre-lmpro�ement TAD Value af Impra�em�nts $ -4-
• Pre-lm��ovement TAD Va1ue of Land $1,OQQ�per fot .
• Total Pre-Improvement TAD Value $1,000 per lot
C`ity of Fort YYo�t1i, Texas
M�yor ��d Counc�l Communication
aA7� REFER�NCE NUM6ER LO� NAME pq��
91�0102 . C-19235 1 05NEZ � 2�� �
sua��cT AUTHORIZATiON TO ENTER lNTO TAX ABAT�MENT AGREEMENTS WITH THE
FORT WORTH HOUSIRiG FiNANGE CORP�RATIQN FOR THE DEVELOPIVI�NT QF
SIXTEEf� Sl�lGLE-FAMILY HQMES FOR THE �ASTCREST SUBDIVISION LOCATED
if� THE STOP SIX NEIGHBORHO�D �MPOWERMENT ZON�
Adc{ress
3100 Eastcrest Couri
3101 Eastcrest Court
3104 Eastcrest Court
31 D5 Eastcrest Cour�
3108 Eastcrest Court
3109 Eastcrest Court
31 � 2 Easfcrest Court
3113 Eastcrest Caurt
31 � 6 Eastcrest Court
312Q Eastcrest Court
3�24 Eastcrest Cou�t
312$ Easicrest Court
3132 Easfcrest Court
3133 �astcrest Court
3136 Eastcresf Court
3137 Eastcrest Court
l.eqal Description
Lot � 0, Block �, Eastcrest Additinn
Lot 6, Block 2, Eastcrest Addition
Lot 9, Block 1, Eastcrest Addi#ion
Lot 5, B1ock 2, Eastcre$t Addition
�.ot 8, Block 1, Eastcrest Addifion
�ot 4, Block 2, Eastcrest Acldition
Lot 7, B1ock 1, Eastcrest Addition
�.ot 3, Blocic 2, Eastcrest Addition
Lot 6, Block 1, Eastcrest Addi#ion
Lot 5, Block 1, Eastcrest Additiar�
Lot 4, B{ock 1, Eastcrest Addition
Lot 3, B1ock 1, �astcrest Addition
L.at 2, Block �, Eastcrest Addition
Lot 2, Block 2, Eastcrest Additian
t�at 1, Block 1, Eastcrest Addition
Lot 1, Bfoc�C 2, Eastcrest Addiiio�
FWHFC expects to complete construction on or before June 3D, 2003, and self the sixteen hom�s to
new own�rs. Upon th� sale of each home by FWHFC, the Housing Department staff will present tha
proposed assessrnent of th� tax abatement agreements ta kh� City Cou�cil for approva! if the new
owner meets all eligibl� criteria as stated ir� the NEZ Basac Ineentives.
FWHFC wili invest $1,60D,ODQ to construct sixteen single-family homes i� the Eastcrest Subdi�ision.
The locatjon of the propossd c{evelopment, typical elevation, and project description are atta�hed to this
Mayor and Go�ncil Communicat�on. The municipal property tax on the improved vaiue is estimated at
$558 per house per year or a to#a! of $4�,644 over #he five-year periad. �
�n August � 3, 2002,� ti�e above �roposal was �ndorsed by the �cflnomic and Community DeveloQment
Cammittee far City Councif approvaL
The Eastcrest Subdivision is lacat�d in C�UNCIL DISTRICT 5.
City of Fort Worth, Texas
M� or �nd CoU�c�� Gommunic�tion
y
DATE �tEF�RENCE NUMBER LUG NAME PAGE '
911 Ql02 � C-'! 923� � oSNEZ � 3 0# 3�
sua��c�r . AUTH4RIZATION TO EI�TER lNTO TAX ABATEMENT AGREEMENTS WiTH TH� '
FORT WORTH HOUSING FlNANCE CQRPOI�ATION FOR THE DEVE�.OPMEN7 OF
51XTEEN 51NG1,E-FAMiLY HQM�S FOR THE EASTCREST SUBDIVISIDN LOCAT�D
1N THE STOP S1X NEiGHBORHOQD EMPOW�RMENT ZON�
FISCAL IN�aRMATlONICERTi�iCATiON:
The Finance Director ce�tifies that ihis action will have no material �ffect on City funds.
RR:n
I
Submitfed for City Manager's
Office �y:
Reid Rector b1d0 �
�riginating Department He�d: i
Jerome Walker 7537
Addition:►1 I�ifarm�tion Contact:
lerome Wallcer • 7537
FL3PID � ACCOUNT � CLNTER � AMOUNT CITY SECRETARY
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